Home Buyers Come Back After Foreclosure

10/15/2012 12:51PM

Millions of families lost their homes to foreclosure after the housing crash hit six years ago. Now, some of those families are back in the housing market. Call them the "boomerang" buyers, as Dawn Wotapka explains on Lunch Break. Photo: AP.

This transcript has been automatically generated and may not be 100% accurate.

... I ... oh ... well millions of families lost their homes to foreclosure in recent years ... they are back on the market buying homes and can ... set worked on top as reporting on this ... she's right here beside me to discuss it ... a lot of people think when you go into foreclosure whiny you're probably not can deal with the government into a two to one of my house again emotionally ... but today there are rules in place that would keep you from doing so ... your ... research especially good because just the opposite tack ... well yes I mean definitely you do not fall off a cliff when you lose your home to foreclosure as many people think ... you are allowed back into the game a certain waiting period in many cases ... to get a loan backed by the FHA it's only three years that's be the Federal Housing invitation right and some people have been only three years to have a loan backed by the FHA what about ... I'm ... afraid Freddie Mac Fannie Mae to see some of their requirements or longer which is why the FHA is that the game in town rate now ... some of the home builders Tommy that are having buyers come and know their three-day ... breeding period down to the day when I can I can on December fifth ... circling my house now ... how are the banks are reacting to these people these applicants community happy given the loan and you think the banks say hey would you know when to the bath with a waltz on these people ... before why should we be giving the money get or they just that desperate to sell to sell homes into tissue mortgage and ... housing is a big part of our economy and this is a large number of consumers who we death only if they can get back into the game we want them back ... but the rules this time are very different it's not that you know you breathe you get a mortgage anymore ... you have to document every little thing and Korea to the bank picture can pay your mortgage this time ... it's ... when Jamie you know a lot of people have been renting to rent prices have been Jack right you think that's accounting for some of the shift back into the note making all these if people bought homes back down the some of them in the national average for rent is up five thousand dollars and a lot of markets a steeper tiring especially with mortgage rates at record lows ... a very clever approach ago I know is a risk a backlash to this happy people who think look ... you know what kind of a lesson are we teaching people go into foreclosure confetti they want whenever they just go into foreclosure was to be that easy and three years I House against ... the Delhi as to think that there's a lot of blame to go around for the housing crash that think everybody realizes that ... are right on top of the clash of the cause ...